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As a result of barriers imposed by El Salvador on dairy products from Nicaragua and the crisis in the country, in the first half of the year sales reports showed a year-on-year fall of 9%.

According to statistics from the Central Bank of Nicaragua (BCN) in the first six months of the year cheese exports totaled $54 million, 9% less than the $60 million recorded in the same period in 2017.

In 2016 Central American countries imported 74,573 tons of cheese and curd, 4% more than in 2015.

Figures from the information system on the Cheese and Curd Market in Central America, compiled by the Business Intelligence Unit at CentralAmericaData : [GRAFICA caption = "Click to interact with the graph"]

Formalizing the sector and improving the implementation of sanitary measures would make it possible to exploit the export potential and take advantage of growing international demand.

It has been reported that there are 37 cheese processing plants certified by the Institute of Animal and Plant Health Protection (IPSA), 36 of which make cheese for export.Figures from the Business Intelligence unit at CentralAmericaData com indicate thatin 2015 Nicaragua led the export of milk and milk productsin the region, with $200 million worth of products sold.The country's dairy export potential can be better exploited in order to improve sales of cheese abroad.

Prawns, cheese, honey, vegetables, peanut oil, peanuts, raw sugar and fruits are some of the products that people want to have duty free status under the FTA.

In the framework of bilateral negotiations for free trade between the two countries, Nicaraguan businessmen pointed out that there are several products that are in the list for staged tax relief, such as shrimp, cheese, honey, vegetables, peanut oil, peanuts, sugar raw and fruits, but they are looking for a"better tariff treatment"for others that are pending negotiations.

Complaints are being made over the sampling process used to verify product quality which is causing delays, forcing goods to be kept at the border for up to 15 days.

The union of the dairy sector in Nicaragua says that the waiting time for the results of the quality test is not supposed to be more than 8 days, but when samples are sent which were taken from El Amatillo to San Salvador, the process is much longer.

An initiative by exporters of dairy products is seeking to meet the requirements for a designation of origin or "country brand" for cheese produced and exported from Nicaragua.

The goal of the Nicaraguan Development Institute (INDE) and the dairy sector is to promote the export of cheese by getting an declaration of origin, as possessed by cheeses exported from El Salvador, produced, in most cases, with Nicaraguan raw material.

A delay in the delivery of health permits from the Ministry of Agriculture is preventing exporters of cheese from selling their product in El Salvador.

For more than ten days delivery of health guarantees to cheese exporters by the Nicaraguan Ministry of Agriculture and Forestry (Magfor ) has been paralyzed. The delay has meant that some 30 containers loaded with the product are about to spoil.

Both blocks decided to concede in what seemed to be irreducible positions, making last minute concessions yesterday.

One of the key issues was denominations of origin: Europe demanded laws to protect brands such as champagne and manchego cheese. The other was how many dairy products would be allowed into the Central American market. The latter was closed when Central America agreed to allow 1.900 tons of powder milk with reduced tariffs and 3.000 tons of cheese, excluding fresh cheese.

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